MAY 26, 2009 INVESTOR UPDATE
RIVERSIDE RESOURCES INVESTOR UPDATE MAY 2009
Dear Investors,
The first half of 2009 has been successful for Riverside Resources Inc. as the Company has delivered on key objectives and grown in cash holdings to over $4,200,000 including income from operating third party exploration programs. The Company is well capitalized, has a tight share structure of less than 22M shares issued, has significant property potential and strong partners to work with toward discovery. Riverside will continue to deliver on key objectives for the remainder of 2009 by developing new joint ventures, delivering drill results and making strategic acquisitions.
Riverside�s progress in the first half of 2009 is a good example of the potential opportunities for the second half of the year. The highlights since January 2009 include:
� Signing of Kinross Precious Metals Exploration Alliance in January 2009: The Exploration Alliance is focused on the Mesa Central Region of Mexico. The general terms of the Alliance recognize Riverside's historic work in Mexico, as well as its proprietary database and on-going generative field programs. Under the terms of the Alliance, Kinross will invest US$800,000 and Riverside will invest US$300,000 to fund exploration in the Mesa Central Region over the next two years. (RRI News Release January 22, 2009)
� Commencement of gold exploration on the Chapalota Property where Arcus Development Group Inc. is investing into Riverside�s property in Sinaloa, Mexico: The property was acquired by Riverside through staking in 2008 and the mineral title is held 100% by Riverside. Arcus acquired an option to earn up to a 65% interest in the property under the terms of an option agreement, which includes spending $6.5M over six years and a firm commitment of $350,000 by 2010. (RRI News Release February 27, 2009)
� Discovery of high grade copper at the Cerro Azul Copper Project, Mexico: Exploration on the 100% Riverside owned, Cerro Azul property, identified various high grade copper targets, the most interesting being located on the southern half of the property. Field rock chip sampling from Cerro Azul returned assays ranging in Cu values up to 3.95% and 10 of the 13 samples having values of >1% Cu, 4 of the 13 samples returning >2% Cu, and 2 of the 13 samples returning >3% Cu. These assays indicate potential for high-grade zones within a 2 km� area. (RRI News Release March 4, 2009)
� $1,500,000 private placement financing: The originally announced Riverside financing of $1,000,000 was over subscribed by $500,000. The majority of participants were existing shareholders who continue to support Riverside�s business model and growth strategy. (RRI News Release April 23, 2009)
With the recent announcement of the Kinross Exploration Alliance and initiation of the work on the Chapalota property as part of the Arcus option, Riverside continues to execute its business plan, which is to have cash flow through joint ventures where partners carry the majority of costs. The recent private placement and payments by Kinross Gold Corporation and Arcus Development Group Inc. give Riverside a cash position of over $4,200,000, which should provide the Company with sufficient capital to operate for a minimum of 3 years, and potentially take advantage of acquisition opportunities in the current market.
Potential upcoming announcements include:
1) Drill program and exploration results on Sugarloaf Peak Gold Project, Arizona: The geology and geochemical results from our work have fit within the larger context of 6000m of drill hole data and 2000 surface gold rock assays we have compiled from historic work and Riverside�s exploration efforts.
2) Independent NI 43-101 report for the Penoles Property, Mexico: The report will be completed in anticipation of a possible option farm-out agreement as Riverside continues on the prospect-generator exploration business model.
3) Exploration results: Riverside�s on site exploration teams are continuously retrieving and analyzing new data. Exploration results from properties in both Arizona and Mexico are pending.
4) Joint Venture Agreements: Riverside is in talks with both junior and major mining companies in order to complete joint venture agreement to progress the Company�s property portfolio.
5) Property Acquisitions: Riverside is continuously evaluating new opportunities in order to add value to the property portfolio.
As Riverside moves forward in 2009 it will continue to use management�s extensive industry experience and network to create beneficial financial and geologic partnerships. Through these alliances Riverside will progress exploration, expand exposure to exploration opportunities, and potentially increase its cash position with minimal dilution, thus allowing the Company to best focus its capital toward the highest quality properties available.
Sincerely Yours,
John-Mark Staude
President & CEO Riverside Resources Inc.
The scientific and technical data contained in this news release was prepared under the supervision of Locke Goldsmith, P. Eng., P. Geo., an independent qualified person to Riverside Resources, who is responsible for ensuring that the geologic information provided in this news release is accurate and acts as a �qualified person� under National Instrument 43-101 Standards of Disclosure for Mineral Projects. Samples for the Cerro Azul project were prepared by Inspectorate Labs of Durango City, Durango State, Mexico and then analyzed by Inspectorate Labs of Reno, Nevada, USA using aqua regia digestion on a 15-gram sample followed by ICP-MS analysis. All labs are ISO certified.
Certain statements in this investor update may be considered forward-looking information, which statements can be identified by the use of forward looking terminology (e.g., "expect�,� estimates�, �intends�, �anticipates�, �believes�, �plans�). Such information involves known and unknown risks -- including the availability of funds, the results of financing and exploration activities, the interpretation of exploration results and other geological data, or unanticipated costs and expenses and other risks identified by Riverside in its public securities filings that may cause actual events to differ materially from current expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this Investor Update.
John-MarkStaude
President & CEO, Director
Riverside Resources Inc.
info@rivres.com
Phone: (778) 327-6671
Fax: (778) 327-6675
Web: www.rivres.com
Alex Mason
Corporate Communications Manager
Riverside Resources Inc.
info@rivres.com
Phone: (778) 327-6671
Fax: (778) 327-6675
Web: www.rivres.com
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